Comments on: EBay’s buyer’s remorse http://blogs.reuters.com/mediafile/2012/10/12/ebays-buyers-remorse/ Where media and technology meet Wed, 16 Nov 2016 08:48:25 +0000 hourly 1 http://wordpress.org/?v=4.2.5 By: ldebaets http://blogs.reuters.com/mediafile/2012/10/12/ebays-buyers-remorse/#comment-429699 Tue, 16 Oct 2012 16:25:11 +0000 http://blogs.reuters.com/mediafile/?p=35929#comment-429699 As pointed out in this previous article from 2009, http://www.marketwatch.com/story/third-p arty-business-fuels-amazons-overall-grow th it was third-party sales that were fuelling Amazon’s growth. It was primarily a Reseller platform prior to that and has started to become a Multi-Sided Platform, like eBay. The reason is because there are higher margins being an MSP than a Reseller.
In 2011, it was estimated Amazon’s MSP business accounts for about 30% of its sales of products to consumers http://paidcontent.org/2011/06/07/419-am azons-bezos-mobile-shopping-has-great-ro om-for-improvement/35/. Being an MSP is less costly to set-up but it is harder to scale than a Reseller. A Reseller also takes care of the famous chicken-and-egg problem, getting all sides on board but incurs more cost to do so.

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By: DevilsDelight http://blogs.reuters.com/mediafile/2012/10/12/ebays-buyers-remorse/#comment-427965 Fri, 12 Oct 2012 22:53:05 +0000 http://blogs.reuters.com/mediafile/?p=35929#comment-427965 Google Merchant is King Now!!! eBay is just a expensive middle man.

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